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Thursday, December 12, 2013

Employee theft: An inside job

Whether it’s a single ream of paper, or stealing identities, theft at the workplace is an increasingly worrisome situation for business owners. Best Accounting Degrees has created an infographic entitled “Employee Theft: An Inside Job” detailing just how prevalent employee theft is, along with outlining a few of the biggest employee thefts in history.

Employee theft has an estimated $40 billion impact on U.S. Businesses per year, and a starting $2.9 trillion on a global level. With 75% of these thefts going unnoticed, it’s no surprise that businesses are 15 times as likely to be victims of theft from an employee rather than an outside source. And in most cases, 10% of the employee population are guilty of 95% of the total losses from thefts. The most susceptible industries? Banking, financial services, government, healthcare, and manufacturing services.

Fraudsters try their hardest to cover their tracks, however, most cases are discovered after 18 months. There were over 75,000 dishonest employees apprehended in 2012, which is up 5.5% from 2011. With more thieves being caught every year, more tipsters than ever are looking to blow the whistle on thefts. Over half of the tips received come from other employees. Other sources can include customers, shareholders, competitors, or the police. However, when police get involved, the losses are likely paramount. When law enforcement is involved, the losses are generally around $1 million. Detection by other means, such as an outside audit, confession, or accident, all have much lower loss numbers.

This infographic also details the ten largest employee embezzlement cases in U.S. History.

Employee Theft
Employee theft and fraud costs trillion of dollars worldwide each year
 Feel free to like, share, and comment in this infographic from http://bestaccountingdegrees.net